KARACHI: The Federal Board of Revenue (FBR) has introduced stricter oversight of public bonded warehouses handling petroleum, oil and lubricants (POL) products by enforcing tighter customs controls and enhanced monitoring measures to prevent the unauthorized movement of bonded fuel and safeguard government revenue.
In a standing order issued by the Office of the Chief Collector of Customs (Appraisement), Punjab, all public bonded warehouse operators have been directed to strictly comply with customs laws by ensuring that no bonded POL products are removed or delivered without verification of Ex-Bond Goods Declarations (GDs) and confirmation that all applicable customs duties and taxes have been paid.
Issued under Section 97 of the Customs Act, 1969, read with Rule 468 of the Customs Rules, 2001, the order also prohibits the transfer of bonded petroleum products between bonded warehouses without prior approval through the WeBOC customs clearance system.
Under the new directives, warehouse operators must obtain daily approval from customs authorities before removing bonded products, conduct daily tank dip measurements in the presence of customs officials, and maintain updated inventory records, including Ex-Bond GD numbers, dates, quantities, and remaining stock balances.
The Chief Collector of Customs has also instructed all customs collectorates to immediately deploy officials at public bonded POL warehouses to monitor daily stock positions, verify Ex-Bond GDs and duty payments, confirm WeBOC approvals for inter-warehouse transfers, and reconcile overnight stock movements with approved removals and transfers.
An annexure accompanying the standing order requires warehouse operators to submit daily requests for customs approval before the removal, delivery, or transfer of petroleum products, supported by complete details of duty-paid goods declarations.
Meanwhile, the Collectorate of Customs (Appraisement), Faisalabad, has assigned appraising officers and inspectors to public and private bonded warehouses in Faisalabad and Mehmood Kot on a shift basis. The officers will supervise the clearance and delivery of bonded petroleum products alongside their existing responsibilities.
Similarly, the Collectorate of Customs (Appraisement-East), Lahore, has deployed customs officials to the Public and Private Bonds Section with additional responsibilities, including round-the-clock supervision of the Machike Terminal and other bonded POL storage facilities.
Under the revised monitoring framework, customs officials have been instructed to ensure that no bonded petroleum products are removed, transferred, or otherwise handled without proper authorization and completion of all prescribed customs procedures. They will also oversee daily stock records, monitor tank dip measurements conducted by oil marketing companies and PARCO officials, and track petroleum movements from bonded facilities.
According to industry sources, the enhanced oversight is part of the FBR’s broader efforts to strengthen compliance with customs regulations, improve control over bonded petroleum stocks, and protect government revenues. The move also comes amid an ongoing Federal Investigation Agency (FIA) investigation into alleged irregularities involving an oil marketing company, where company officials have been booked over accusations of evading customs duties, taxes, and petroleum levy worth billions of rupees through the unauthorized removal of imported oil.
Story by Tanveer Malik
